RIL to take over 95% stakes in Infotel (India)

www.WirelessFederation.com/news: Mukesh Ambani-led Reliance Industries Limited (RIL) has entered into an agreement with Infotel Broadband Services (P) Ltd, owned by the son of Mahendra Nahata, managing director of Himachal Futuristic Communications Ltd (HFCL) to acquire a substantial stake in the latter, thus putting its interest firmly in the telecom space.

According to Mukesh Ambani, Chairman and Managing Director of Reliance Industries Limited, RIL see this as the next wave of value creation opportunity in the wireless broadband space and he believes this will pole-vault India’s economy into the digital world at an accelerated pace while creating next generation tools that will enhance productivity and create world-class consumer experiences.

Rs 4,800 crore will be invested by RIL by way of subscription to fresh equity capital at par to be issued by Infotel Broadband. Post this investment. Infotel Broadband will be a subsidiary of Reliance Industries Limited which will own 95% of the equity. Infotel has emerged as a successful bidder in all the 22 circles of the auction for Broadband Wireless Access (BWA) Spectrum conducted by the DoT.

RIL plans to create world class state- of-the-art technology using an asset light strategy and its initiative will usher in a wireless broadband revolution in both urban and rural areas by providing end-to-end data solutions for business enterprises, social organisations, educational and healthcare institutions and Indian consumers.